Published: 2010-02-03 08:45:00 CET
Marimekko Corporation - Financial Statement Release
MARIMEKKO CORPORATION'S FINANCIAL STATEMENT BULLETIN, 1 January - 31 December 2009
Marimekko Corporation        FINANCIAL STATEMENT BULLETIN                       
                             3 February 2010 at 9 a.m.                          

MARIMEKKO CORPORATION'S FINANCIAL STATEMENT BULLETIN,                           
1 January - 31 December 2009                                                    

In 2009, the Marimekko Group's net sales fell by 10.7% to EUR 72.5 million      
(EUR 81.1 million). Operating profit fell to EUR 6.3 million (EUR 10.0 million).
Operating profit without non-recurring items amounted to EUR 6.8 million        
(EUR 10.0 million). Profit after taxes for the financial year was EUR 4.7       
million (EUR 7.4 million) and earnings per share were EUR 0.59 (EUR 0.92). Cash 
flow from operating activities was EUR 9.9 million (EUR 8.0 million). The Board 
of Directors will propose to the Annual General Meeting that a dividend of      
EUR 0.45 (EUR 0.55) per share be paid for 2009. The Marimekko Group's net sales 
and operating profit for 2010 are expected to be approximately at the same level
as in 2009.                                                                     

                                         1-12/     1-12/   Change,              
                                          2009     2008          %              

Net sales, EUR 1,000                    72,473    81,107     -10.7              
Share of exports and international                                              
 operations, % of net sales               27.3      27.0                        
Operating profit, EUR 1,000              6,291     9,956     -36.8              
Operating profit without                                                        
 non-recurring items, EUR 1,000          6,803     9,956     -31.7              
Profit before taxes, EUR 1,000           6,354     9,964     -36.2              
Profit for the financial year,                                                  
 EUR 1,000                               4,701     7,378     -36.3              
Earnings per share, EUR                   0.59      0.92     -35.9              
Equity per share, EUR                     3.96      3.92       1.0              
Return on equity (ROE), %                 14.8      24.2                        
Return on investment (ROI), %             20.1      32.3                        
Equity ratio, %                           77.7      78.7                        

Mika Ihamuotila, President and CEO:                                             

“The year 2009 was exceptionally challenging for the industry and for Marimekko 
as well. The sharp decline in consumer demand decreased our sales both in       
Finland and abroad. However, we managed to achieve passable earnings and a      
strong cash flow. In the last quarter of 2009, our operating result improved    
clearly on the previous year. Full-year earnings were adversely affected by     
non-recurring expenses related to personnel reductions and the fact that royalty
income and revenues from promotions were lower than the year before. We adjusted
our operations to the reduced demand, and the decrease in profitability slowed  
down. We are confident that the implemented reorganisation of functions and     
enhanced efficiency of operations will improve our chances for growth in the    
coming years.                                                                   

Despite the difficult market conditions, we purposefully guided the company     
forward in the direction set by our long-term strategy. In 2009, six new        
Marimekko concept stores opened abroad: five in Japan and one in Copenhagen,    
Denmark. Marimekko acquired the ownership of the London concept store in April. 
The Marimekko shops in Stockholm and the Helsinki-Vantaa airport were           
refurbished and expanded, and one of the two Tampere shops moved to new         
premises. We complemented our collections with new product categories, and      
successfully launched new products where our own product design is combined with
Marimekko's renowned, powerful patterns.                                        

Some weak signs of a turn for the better are visible, but we expect the market  
conditions to remain challenging this year as well. Nevertheless, we will       
continue our long-term input into product development and building international
growth. In geographical terms, we will mainly focus on countries where our brand
is already well-known. We are also planning to explore some new market areas. I 
would like to thank our loyal customers for the support we have received and our
staff for doing an excellent job in extremely challenging market conditions.”   
                                                                                
Financial calendar 2010                                                         
The Annual Report for 2009 will be published in week 12. The Annual General     
Meeting will be held on Thursday, 15 April 2010 at 2 p.m. The following interim 
reports will be published in 2010: January to March, on Thursday 6 May 2010 at  
9 a.m.; January to June, on Thursday 12 August 2010 at 9 a.m.; and January to   
September, on Thursday 4 November 2010 at 9 a.m.                                

Annual summary 2009 and releases                                                
A summary of Marimekko's stock exchange releases and other significant releases 
published during the financial year 2009 is  available on the company's website 
at www.marimekko.com, in the section Investors/Financial Releases/Summary of    
Significant Releases. All of the company's stock exchange releases are available
in the section Investors/Releases.                                              

For additional information, please contact:                                     
Mika Ihamuotila, President and CEO, tel. +358 9 758 71                          
Thomas Ekström, CFO, tel. +358 9 758 7261                                       

MARIMEKKO CORPORATION                                                           
Group Communications                                                            

Piia Pakarinen                                                                  
Tel. +358 9 758 7293                                                            
Fax +358 9 755 3051                                                             
E-mail: piia.pakarinen@marimekko.fi                                             

DISTRIBUTION:                                                                   
NASDAQ OMX Helsinki Ltd                                                         
Principal media                                                                 
Marimekko's website www.marimekko.com                                           

Marimekko, established in 1951, is a leading Finnish textile and clothing design
company renowned for its original prints and colours. The company designs and   
manufactures high-quality clothing, interior textiles, bags and other           
accessories. Marimekko products are sold in over 40 countries. Products with    
Marimekko designs are also manufactured under licence in various countries. In  
2009, the company's net sales amounted to EUR 72.5 million, of which exports and
international operations accounted for 27.3%. The Group employs about 370       
people. The company's share is quoted on the NASDAQ OMX Helsinki Ltd.           


MARIMEKKO CORPORATION'S FINANCIAL STATEMENT BULLETIN,                           
1 January - 31 December 2009                                                    

MARKET SITUATION                                                                

The first signs of a change in the world economy were seen towards the end of   
2009. In Finland, the outlook for the whole economy was still cautious, but an  
end to the downtrend and an upward turn in retail sales were visible.           
(Confederation of Finnish Industries EK:  Business Tendency Survey, November    
2009 and Economic Review, 21 January 2010). Consumers' confidence in the Finnish
economy was stronger than average in January, but people still felt insecure    
about their own employment prospects. (Statistics Finland: Consumer Barometer,  
January 2010). In 2009, the value of retail sales in Finland fell by 2.6%       
(Statistics Finland: Retail trade quick estimate, December 2009). From January  
to November 2009, retail sales of clothing (excluding sportswear) fell by 2.6%  
(Textile and Fashion Industries TMA). Sales of womenswear fell by 1.8%, sales of
menswear by 5.0%, and sales of childrenswear by 1.2%. Sales of bags decreased by
10.0%. In the January-November period of 2009, exports of clothing (SITC 84)    
fell by 17% and imports by 10%; exports of textiles (SITC 65) declined by 24%   
and imports by 23% (National Board of Customs, monthly review, November 2009).  

NET SALES                                                                       

Financial year 2009                                                             
In 2009, the Marimekko Group's net sales decreased by 10.7% to EUR 72,473       
thousand (EUR 81,107 thousand). Net sales in Finland fell by 10.9% to EUR 52,711
thousand (EUR 59,175 thousand). Exports and income from international operations
declined by 9.9%, totalling EUR 19,762 thousand (EUR 21,932 thousand). Exports  
and income from international operations accounted for 27.3% (27.0%) of the     
Group's net sales. The fall in net sales was largely due to a slowdown in demand
caused by weak market conditions. Wholesale sales both in Finland and abroad    
were especially affected by the slowdown. The difference to the comparison      
period was also increased by income from sales of licensed products and revenues
from individual promotions that were larger in 2008 than in the year under      
review. The six new concept stores that opened during the year increased        
wholesale sales abroad.                                                         

The breakdown of the Group's net sales by product line was as follows: clothing 
37.9%, interior decoration 45.1%, and bags 17.0%. Net sales by market area were:
Finland 72.7%, the other Nordic countries 9.7%, the rest of Europe 6.7%, North  
America 4.1%, and other countries (Japan and other regions outside Europe and   
North America) 6.8%.                                                            

In 2009, sales by Marimekko's own retail shops in Finland fell by 1.4% compared 
with 2008. Sales to retailers in Finland declined by 13.9%; the decrease was    
partly attributable to significant deliveries for promotions in 2008, larger    
than orders for promotions during the year under review.                        

4Q of 2009                                                                      
In the October-December period of 2009, the Marimekko Group's net sales fell by 
6.1% to EUR 20,719 thousand (EUR 22,061 thousand). In Finland, net sales        
declined by 6.9% to EUR 16,538 thousand (EUR 17,762 thousand). Deliveries for   
promotions were at the level of the previous year. Exports and income from      
international operations fell by 2.7%, totalling EUR 4,181 thousand (EUR 4,299  
thousand). The six new concept stores that opened during the year increased     
foreign wholesale sales for the period.                                         

REVIEWS BY BUSINESS UNIT                                                        

Clothing                                                                        
In 2009, net sales of clothing decreased by 8.1% to EUR 27,466 thousand         
(EUR 29,898 thousand). Japan showed vigorous growth, and sales also increased   
slightly in the market area referred to as “the rest of Europe”. In Finland,    
sales fell somewhat. Sales decreased notably in North America and in the market 
area referred to as “the other Nordic countries”, where the fall was partly     
attributable to the significant income from sales of licensed products that was 
recognised in the second quarter of 2008. Exports and income from international 
operations accounted for 23.1% of net sales of clothing.                        

Interior decoration                                                             
Net sales of interior decoration products fell by 13.4% to EUR 32,687 thousand  
(EUR 37,747 thousand). Sales in Japan grew, while other export markets and      
Finland registered a decline in sales. In Finland, the decrease was partly due  
to the fact that revenues from individual promotions were larger in 2008 than in
the year under review. Exports and income from international operations         
accounted for 29.5% of net sales of interior decoration products.               

Bags                                                                            
Net sales of bags fell by 8.5% to EUR 12,320 thousand (EUR 13,462 thousand).    
Sales grew well in Japan and the market area referred to as “the rest of        
Europe”. In North America and the market area referred to as “the other Nordic  
countries”, sales declined substantially. Sales in Finland fell somewhat; the   
decrease was almost entirely attributable to income from a significant promotion
in 2008. Exports and income from international operations accounted for 30.7% of
net sales of bags.                                                              

Business-to-business sales                                                      
Business-to-business sales fell by 51.2%. The decrease was partly due to        
significant deliveries for promotions in 2008, larger than orders for promotions
during the year under review. In addition, the poor economic conditions in 2009 
significantly reduced purchases by corporate customers.                         

Exports and international operations                                            
Uncertain economic conditions prevailed in 2009. Consumer demand decreased, and 
customers were cautious about making purchases. A slight recovery was           
perceptible towards the end of the year, but the hoped-for turn for the better  
was not realised. In 2009, Marimekko's exports and income from international    
operations decreased by 9.9%, totalling EUR 19,762 thousand (EUR 21,932         
thousand). Sales trends varied greatly by country. Japan showed vigorous growth,
while sales increased slightly in the market area referred to as “the rest of   
Europe”. In other export markets, sales fell markedly. The major countries for  
exports were Japan, Sweden, the United States, Denmark and Germany.             

In the market area referred to as “the other Nordic countries”, sales in all    
product lines decreased considerably. Net sales fell to EUR 7,042 thousand,     
which was 25.3% less than the previous year (EUR 9,423 thousand). In addition to
a decrease in sales volumes, the weakening of the Swedish krona (by about 20%)  
as well as significant income generated from sales of licensed products in the  
second quarter of 2008 contributed to the fall in net sales.                    

In the market area referred to as “the rest of Europe”, net sales rose by 2.6%  
to EUR 4,821 thousand (EUR 4,700 thousand). Sales of bags showed good growth;   
clothing sales grew slightly. Sales of interior decoration products fell        
somewhat. The growth in net sales was attributable to the transfer of the       
Marimekko shop in London to Marimekko's ownership.                              

In North America, net sales fell by 24.8% to EUR 3,003 thousand (EUR 3,994      
thousand). Bag and clothing sales declined very sharply; sales of interior      
decoration products fell slightly.                                              

In the market area referred to as “other countries”, net sales rose by 28.3% to 
EUR 4,896 thousand (EUR 3,815 thousand). The growth was generated by Japan,     
mainly by the five new concept stores opened during the year. Sales of clothing 
and bags, in particular, grew extremely vigorously. At the end of the year,     
there were a total of twenty Marimekko concept stores and shop-in-shops in      
Japan.                                                                          

Licensing                                                                       
Royalty earnings from sales of licensed products fell considerably during 2009. 
The fall was mainly due to significant income from licensing cooperation with H 
& M Hennes & Mauritz AB, recognised in the second quarter of 2008. Royalty      
earnings grew somewhat in Finland and fell slightly in the United States.       

Production and sourcing                                                         
The output of the Herttoniemi textile printing factory decreased by 21% in 2009.
This was due to the reduction of inventories and a decrease in sales. After the 
old printing machine was taken out of use in June, production capacity          
diminished and was in full use. To ensure employment, subcontract manufacture of
some products was reduced and their production transferred to the Kitee and     
Sulkava factories. The changes to the production structure and the personnel    
reductions implemented during the last quarter of the year improved the         
competitiveness of Marimekko's own production units and the profitability of    
operations. In 2009, the production volume of the Sulkava factory was at the    
same level as in the previous year; the output of the Kitee factory fell        
slightly.                                                                       

EARNINGS                                                                        

Financial year 2009                                                             
In 2009, the Group's operating profit fell by 36.8% to EUR 6,291 thousand       
(EUR 9,956 thousand). Operating profit as a percentage of net sales amounted to 
8.7% (12.3%). Operating profit includes a non-recurring expense of EUR 512      
thousand related to personnel reductions resulting from savings and efficiency  
actions. Operating profit without non-recurring items stood at EUR 6,803        
thousand (EUR 9,956 thousand).                                                  

Operating profit was decreased by a sharp decline in sales. The difference to   
the comparison period was also increased by significant income from sales of    
licensed products in the previous year and the fact that revenues from          
individual promotions were larger in 2008 than in the year under review.        
Furthermore, increased lease expenses from shops had a negative impact on       
profitability. On the other hand, savings of about EUR 600 thousand in fixed    
costs were achieved through efficiency enhancements and various savings actions.

The Group's marketing expenses for the year totalled EUR 3,137 thousand         
(EUR 3,398 thousand), representing 4.3% (4.2%) of net sales.                    

The Group's depreciation amounted to EUR 1,394 thousand (EUR 1,324 thousand),   
representing 1.9% (1.6%) of net sales. Net financial income totalled EUR 63     
thousand (EUR 8 thousand), or 0.1% (0.0%) of net sales.                         

Profit after taxes for the financial year decreased by 36.3% to EUR 4,701       
thousand (EUR 7,378 thousand), representing 6.5% (9.1%) of net sales. Earnings  
per share were EUR 0.59 (EUR 0.92).                                             

4Q of 2009                                                                      
In the October-December period of 2009, the Marimekko Group's operating profit  
grew by 27.5% on the comparison period, amounting to EUR 2,353 thousand         
(EUR 1,845 thousand). Revenues from promotions were at the same level as in the 
previous year. As a result of efficiency enhancement actions and various savings
measures, costs declined from the corresponding period of 2008. Earnings were   
also improved due to the fact that, in the last quarter of 2008, the rapid      
decline in market conditions was already visible as a sharp fall in sales in    
Finland and abroad. Earnings per share were EUR 0.22 (EUR 0.17).                

INVESTMENTS                                                                     

The Group's gross investments amounted to EUR 1,202 thousand (EUR 1,362         
thousand), representing 1.7% (1.7%) of net sales. The majority of investments   
were directed at the refurbishment of shops and the renovation of the           
Herttoniemi facilities.                                                         

EQUITY RATIO AND FINANCING                                                      

The Group's equity ratio was 77.7% at the end of the period (78.7% on           
31 December 2008). The ratio of interest-bearing liabilities minus financial    
assets to shareholders' equity (gearing) was -32.2%, while it was -18.8% at the 
end of the previous year.                                                       

At the end of the year, the Group's financial liabilities stood at EUR 0        
(EUR 185 thousand). The Group's financial assets at the end of the financial    
year amounted to EUR 10,245 thousand (EUR 6,112 thousand).                      

SHARES AND SHARE PRICE TREND                                                    

Share capital                                                                   
At the end of the period, the company's fully paid-up share capital, as recorded
in the Trade Register, amounted to EUR 8,040,000, and the number of shares      
totalled 8,040,000.                                                             

Shareholdings                                                                   
According to the book-entry register, Marimekko had 6,716 (6,351) shareholders  
at the end of the period. Of the shares, 13.8% were registered in a nominee's   
name and 18.0% were in foreign ownership. At the end of 2009, the number of     
shares owned either directly or indirectly by members of the Board of Directors 
and the President of the company was 1,087,340, representing 13.5% of the total 
share capital and of the votes conferred by the company's shares.               

The largest shareholders according to the book-entry register on 31 December    
2009                                                                            
                                      Number of      Percentage of              
                                     shares and        holding and              
                                          votes              votes              

1.  Muotitila Ltd                     1,045,200              13.00              
2.  Semerca Investment Ltd              850,377              10.58              
3.  ODIN Finland                        406,284               5.05              
4.  Varma Mutual Employment                                                     
    Pension Insurance Company           385,920               4.80              
5.  Ilmarinen Mutual                                                            
    Pension Insurance Company           265,419               3.30              
6.  Veritas Pension Insurance Company   220,000               2.74              
7.  Nordea Nordenfonden                 173,506               2.16              
8.  Sairanen Seppo                       71,379               0.89              
9.  Nacawi Ab                            60,300               0.75              
10. Mutual Fund Tapiola Finland          57,455               0.71              
11. Foundation for Economic Education    50,000               0.62              
12. Scanmagnetics Oy                     40,000               0.50              
13. Nordea Nordic Small Cap Fund         38,904               0.48              
14. Haapanala Auvo                       33,000               0.41              
15. Fromond Elsa                         32,200               0.40              
Total                                 3,729,944              46.39              
Nominee-registered                    1,105,593              13.75              
Others                                3,204,463              39.86              
Total                                 8,040,000             100.00              

Flaggings                                                                       
The share of Workidea Oy, a company controlled by Kirsti Paakkanen, of Marimekko
Corporation's share capital and voting rights decreased to 0.00%, or 0 shares,  
as a result of a transaction made on 8 January 2009.                            

As a result of a transaction made on 8 April 2009, Barclays Capital Securities  
Limited's share of Marimekko Corporation's share capital and voting rights rose 
to 6.09%, or 490,00 shares; and then fell to 0.00%, or 0 shares, as a result of 
a transaction made on 14 April 2009.                                            

Fautor S.P.R.L's share of Marimekko Corporation's share capital and voting      
rights fell to 0.00%, or 0 shares, as a result of a transaction concluded on    
18 June 2009. Semerca Investments S.A.'s share of Marimekko Corporation's share 
capital and voting rights rose to 10.58%, or 850,377 shares, as a result of a   
transaction concluded on 18 June 2009. According to Marimekko Corporation's     
knowledge, Semerca Investments S.A. is the parent company of Fautor S.P.R.L.    

Authorisations                                                                  
At the end of the review period, the Board of Directors had no valid            
authorisations to carry out share issues or issue convertible bonds or bonds    
with warrants, or to acquire or surrender Marimekko shares.                     

Share trading                                                                   
In 2009, a total of 1,620,304 Marimekko shares were traded, representing 20.2%  
of the shares outstanding. The total value of Marimekko's share turnover was    
EUR 15,104,869. The lowest price of the Marimekko share was EUR 7.50, the       
highest was EUR 11.44, and the average price was EUR 9.70. At the end of the    
year, the final price of the share was EUR 10.30. The company's market          
capitalisation on 31 December 2009 was EUR 82,812,000 (EUR 67,134,000 on        
31 December 2008).                                                              

PERSONNEL                                                                       

In 2009, the number of employees averaged 400 (411). At the end of the year, the
Group employed 370 (414) people, of whom 17 (16) worked abroad.                 

RISK MANAGEMENT AND MAJOR RISKS                                                 

Risk management is an integral element of the company's management and          
decision-making process, covering all of the Group's functions. Risk            
identification builds on Marimekko's strategic and operational objectives. The  
company's Board of Directors has confirmed the principles, responsibilities and 
organisation of risk management. The Board of Directors also monitors the       
success of risk management. According to its risk management principles,        
Marimekko classifies its risks as strategic, operational, economic and accident 
risks. Risk reporting is part of the company's regular reporting.               
                                                                                
The risk factors described below may have a harmful impact on the company's     
shareholder value, business, or financial standing. However, other risks which  
Marimekko is currently not aware of or which are not currently considered major,
may become significant in the future.                                           
                                                                                
Key strategic risks assessed by Marimekko are associated with the general       
economic development and the consequent increased uncertainty in the operating  
environment. Trends in the world economy affect consumers' purchasing behaviour 
and buying power in all of the company's market areas. The decline in consumer  
demand has affected sales trends, which has an adverse impact on the company's  
growth and earnings outlook. Marimekko is going through a phase of intensive    
change and the company has a number of development projects in progress. In     
2009, the company's functions were reorganised and the efficiency of its        
operations was enhanced. There were personnel changes in Marimekko's executive  
management, as well as in areas of core expertise with key significance to the  
company's business. The company's ability to develop and commercialise new      
products that meet consumers' expectations has an impact on the company's sales 
and profitability. The management and monitoring of change and ensuring         
sufficient core expertise are emphasised in risk management.                    
                                                                                
Among the company's operational risks, the key factor is the operational        
reliability of procurement and logistics processes. The share of in-house       
production has diminished, and Marimekko uses subcontractors to an increasing   
extent. Therefore, the company's dependence on the supply chain has increased.  
Any delays or disturbances in supply may have a temporary harmful impact on     
business. In 2009, the company conducted a procurement process risk analysis    
aimed at identifying key risk areas from the perspective of the efficiency of   
operations, the correctness of financial reporting, compliance with laws and    
regulations, and prevention of malpractice. Control points and responsibilities 
were determined in order to take notice of any realisation of risks and to take 
preventive action. Risks are managed by improving the disturbance tolerance of  
the procurement process and by training purchasing staff. The company is        
continuously developing the availability of key products and alternative        
procurement channels, the operational efficiency of procurement, the competence 
of the purchasing staff and the comprehensiveness and functionality of          
reporting.                                                                      
                                                                                
Among the company's financial risks, those related to the structure of sales,   
the price trends for factors of production, customers' liquidity and changes in 
exchange rates may have an impact on the company's financial status. A number of
raw materials are used to manufacture Marimekko products, the most important    
being cotton. Sudden changes in the prices of raw materials may have an impact  
on the company's earnings. The company protects itself against credit risks     
related to trade receivables by continuously monitoring its customers' credit   
limits, credit history and financial situation. Credit risks are also reduced by
means of advance payments, bank guarantees and letters of credit. In 2009, no   
significant changes took place in credit losses or the customers' payment       
behaviour. The company's main invoicing and purchasing currency is the euro. The
other significant invoicing currencies are the Swedish krona and the US dollar. 
Marimekko protects itself against foreign currency risks of sales by taking     
exchange rate fluctuations into account when pricing its products. In 2009,     
changes in exchange rates did not have any material effect on the company's     
business. In 2009, Marimekko identified and assessed risk areas related to the  
Group's financial reporting process, in particular. Control objectives and      
Group-level control points were defined for the risks identified. In order to   
avoid the realisation of risks, the company has enhanced the effectiveness of   
business activity monitoring and especially that of cost management.            
                                                                                
The company strives to minimise its accident risks by means of labour protection
and security training, as well as operating procedures concerning work and      
working methods. Group companies have taken out policies to insure their        
personnel, assets and operations. The scope, insurance value and excess amount  
of the policies are reviewed annually with the insurance companies.             

RESEARCH AND DEVELOPMENT                                                        

Marimekko's product planning and development costs arise from the design of     
collections. Design costs are recorded in expenses.                             

THE ENVIRONMENT, HEALTH AND SAFETY                                              

Responsibility for the environment and nature is an integral aspect of          
Marimekko's business. In environmental matters, the company's business          
supervision is largely based on legislation and other regulations. The          
Herttoniemi textile printing factory has a valid environmental permit and the   
production operations comply with its terms. Marimekko's production processes do
not generate any waste that is classified as hazardous or detrimental to health.
In the interest of monitoring the environmental impact of production and other  
business operations, the company develops its operating models and conducts     
regular tests on the materials used in the products. Cooperation agreements     
require Marimekko's subcontractors and other partners to commit themselves to   
shouldering their environmental responsibilities. The company seeks to save     
energy by developing its production methods, investing in energy-efficient      
machinery and equipment, and monitoring energy consumption.                     

In 2009, Marimekko continued the long-term development of a corporate social    
responsibility management system. The company has chosen procurement, design,   
production and quality control, warehousing, distribution and logistics as the  
key areas for the next few years. Marimekko's Annual Report contains a more     
extensive report on environmental, health and safety issues. A summary is also  
included in each interim report. The Group applies the Global Reporting         
Initiative (GRI) reporting framework's G3 guidelines.                           

A SUBSIDIARY AND A COMPANY-OWNED SHOP IN GREAT BRITAIN                          

The business of the Marimekko shop in London was acquired from Skandium Ltd on  
1 April 2009. The shop's operations are managed by Marimekko UK Ltd, a          
subsidiary established in the United Kingdom at the end of March 2009.          

DECISIONS OF THE ANNUAL GENERAL MEETING                                         

Marimekko Corporation's Annual General Meeting, held on 8 April 2009, adopted   
the company's financial statements for 2008 and discharged the President and    
members of the Board from liability. The Annual General Meeting approved the    
Board of Directors' proposal for a dividend payment of EUR 0.55 per share for   
the 2008 financial year, totalling EUR 4,422,000.00. The dividend payout record 
date was 15 April 2009, and the dividend payout date 22 April 2009.             

The Annual General Meeting confirmed that the company's Board of Directors shall
have five (5) members. Ami Hasan, Mika Ihamuotila, Joakim Karske, Pekka         
Lundmark, and Tarja Pääkkönen were re-elected as members of the Board of        
Directors. The term of office for the Board of Directors runs until the end of  
the next Annual General Meeting. At its organisation meeting held after the     
Annual General Meeting, the Board of Directors elected Pekka Lundmark as        
Chairman and Mika Ihamuotila as Vice Chairman of the Board.                     

The Annual General Meeting re-elected PricewaterhouseCoopers Oy, Authorised     
Public Accountants, as the company's regular auditor, with Kim Karhu, Authorised
Public Accountant, as chief auditor. It was decided that the auditor's fee would
be paid as per invoice.                                                         

Amendment of the Articles of Association                                        
The Annual General Meeting approved the Board of Directors' proposal to amend   
the Articles 3, 4, 5, 6, 8, 9, 11, 12 and 13 of Marimekko Corporation's Articles
of Association. The amendments have been detailed in the Notice of the Annual   
General Meeting published on 16 March 2009. The Articles of Association approved
at the Annual General Meeting are appended to the stock exchange release dated 8
April 2009.                                                                     

CHANGES IN THE COMPANY'S MANAGEMENT                                             

Malin Groop, Marimekko's Marketing Manager, was appointed as the Group's        
Marketing Director and member of the Management Group as of 1 August 2009. Marja
Korkeela, Head of Group Communications and Investor Relations and member of the 
Management Group, left the company on 31 August 2009. Mervi                     
Metsänen-Kalliovaara, Marimekko's Sales Director and member of the Management   
Group, left the company on 7 October 2009. As of 7 October 2009, the Marimekko  
Group's Management Group comprised Mika Ihamuotila as Chairman and Thomas       
Ekström (finance, administration and investor relations), Malin Groop           
(marketing), Päivi Lonka (international sales), Niina Nenonen (clothing, bags   
and accessories), Piia Rossi (company-owned retail shops in Finland), and Helinä
Uotila (production, purchases and interior decoration) as members.              

EFFICIENCY ENHANCEMENT AND STATUTORY EMPLOYER-EMPLOYEE NEGOTIATIONS REGARDING   
OPERATIONS IN FINLAND                                                           

On 13 August 2009, Marimekko announced the start of Group-wide statutory        
employer-employee negotiations regarding possible temporary lay-offs and a      
permanent reduction in the number of employees in Finland. The maximum number of
permanent reductions was not expected to exceed 35 employees. The aim of the    
negotiations was to adapt the company's cost structure to the rapidly           
deteriorating market situation and improve the company's ability to develop its 
operations as well as safeguard the conditions for the stable development of the
company.                                                                        

On 7 October 2009, Marimekko announced that its Group-wide statutory            
employer-employee negotiations had been completed. The company stated that      
reorganisation of functions and rationalisation of operations would result in   
the elimination of 35 positions. In addition, the company announced a need to   
fill eight new positions; as far as possible, these positions would be filled by
internal transfers. The annual costs of the new positions were estimated at     
about EUR 0.4 million. Temporary layoffs were rejected for the rest of 2009, but
the decision was made to prepare for them in certain functions until 31 May     
2010. Subsequently, temporary lay-offs were also rejected for the spring of     
2010. The personnel cutbacks and other measures to be taken are expected to     
bring annual cost savings of approximately EUR 1.5 million in total. In         
connection with the personnel reductions, the company recognised a non-recurring
cost provision of EUR 0.5 million in the third quarter of 2009.                 

THE BOARD OF DIRECTORS' PROPOSAL FOR THE DIVIDEND FOR THE 2009 FINANCIAL YEAR   

A dividend of EUR 0.55 per share was paid for 2008 to a total of EUR 4,422,000. 
The Board of Directors will propose to the Annual General Meeting that a        
dividend of EUR 0.45 per share be paid for 2009. The proposed dividends         
represent 76.3% of the Group's earnings per share for the financial year. On    
31 December 2009, the parent company's distributable funds amounted to          
EUR 19,982,129. The Board will propose 20 April 2010 as the dividend record     
date, and 27 April 2010 as the dividend payout date.                            

OUTLOOK FOR 2010                                                                

Marimekko Corporation operates in a field where economic trends affect its      
business activities. In the last quarter of 2009, some positive signs were      
visible in the trend in Marimekko's sales. However, challenging market          
conditions are anticipated to continue in 2010.                                 

The majority of the Group's net sales are generated in Finland. In recent years,
however, exports have increasingly been driving Marimekko's net sales growth. In
2009, a clearly positive sales trend was seen only in Japan, where a significant
part of growth was based on new concept store openings. In 2010, Marimekko's    
exports are estimated to grow slightly. In 2009, the Group's net sales and      
earnings included significant revenues generated from individual promotions. In 
2010, similar revenues that increase net sales and improve earnings are         
estimated to be lower.                                                          

The Marimekko Group's net sales and operating profit for 2010 are expected to be
approximately at the same level as in 2009.                                     

Helsinki, 3 February 2010                                                       

MARIMEKKO CORPORATION                                                           
Board of Directors                                                              

Information presented in the financial statement bulletin is unaudited.         

APPENDICES                                                                      
Accounting principles                                                           
Consolidated income statement and comprehensive consolidated income statement   
Consolidated balance sheet                                                      
Consolidated cash flow statement                                                
Consolidated statement of changes in shareholders' equity                       
Key indicators                                                                  
Consolidated net sales by market area and product line                          
Segment information                                                             
Quarterly trend in net sales and earnings                                       

Accounting principles                                                           
This financial statement bulletin has been prepared in accordance with IAS 34:  
Interim Financial Reporting and applying the same accounting policy as for the  
2008 financial statements. In addition, on 1 January 2009 the Group adopted the 
following new or amended standards published by the IASB in 2008:               

IAS 1 standard (amended)                                                        
In accordance with the amended IAS 1 standard, Marimekko Corporation presents   
both the consolidated and comprehensive consolidated income statements.         

IFRS 8                                                                          
The operational segment reported by the Marimekko Group is the Marimekko        
business.                                                                       

FORMULAS FOR THE KEY FIGURES                                                    

Earnings per share (EPS), EUR:                                                  
(Profit before extraordinary items - taxes (excl. of taxes on extraordinary     
items)) / Number of shares (average for the financial period)                   

Equity per share, EUR:                                                          
Shareholders' equity / Number of shares, 31 December                            

Return on equity (ROE), %:                                                      
(Profit before extraordinary items - taxes (excl. of taxes on extraordinary     
items)) X 100 / Shareholders' equity (average for the financial period)         

Return on investment (ROI), %:                                                  
(Profit before extraordinary items + interest and other financial expenses) X   
100 / (Balance sheet total - non-interest-bearing liabilities (average for the  
financial period))                                                              

Equity ratio, %:                                                                
Shareholders' equity X 100 / (Balance sheet total - advances received)          

Gearing, %:                                                                     
Interest-bearing net debt X 100 / Shareholders' equity                          

CONSOLIDATED INCOME STATEMENT                                                   

(EUR 1,000)                      10-12/   10-12/    1-12/    1-12/              
                                   2009     2008     2009     2008              

NET SALES                        20,719   22,061   72,473   81,107              
Other operating income                6      203       41      244              
Increase or decrease in                                                         
 inventories of completed                                                       
 and unfinished products            739   -1,851    2,135      185              
Raw materials and consumables     7,678    8,097   26,890   33,597              
Employee benefit expenses         4,660    5,133   18,202   18,287              
Depreciation                        363      341    1,394    1,324              
Other operating expenses          4,932    4,997   17,602   18,372              

OPERATING PROFIT                  2,353    1,845    6,291    9,956              

Financial income                     26       52       86      205              
Financial expenses                  -10      -57      -23     -197              
                                     16       -5       63        8              

PROFIT BEFORE TAXES               2,369    1,840    6,354    9,964              

Income taxes                        630      474    1,653    2,586              

NET INCOME FOR THE PERIOD         1,739    1,366    4,701    7,378              

Distribution of net income to                                                   
 equity holders of the parent                                                   
 company                          1,739    1,366    4,701    7,378              

Basic and diluted earnings                                                      
 per share calculated on the                                                    
 profit attributable to equity                                                  
 holders of the parent                                                          
 company, EUR                      0.22     0.17     0.59     0.92              


COMPREHENSIVE CONSOLIDATED INCOME STATEMENT                                     
                                                                                
(EUR 1,000)                      10-12/   10-12/     1-12/   1-12/              
                                   2009     2008      2009    2008              

Net income for the period         1,739    1,366     4,701   7,378              
Other comprehensive income                                                      
  Change in translation                                                         
  difference                         13      -19         4      -5              

TOTAL COMPREHENSIVE                                                             
INCOME FOR THE PERIOD             1,752    1,347     4,705   7,373              

Distribution of net income                                                      
 to equity holders of                                                           
 the parent company               1,752    1,347     4,705   7,373              


CONSOLIDATED BALANCE SHEET                                                      

(EUR 1,000)                                 31.12.2009  31.12.2008              

ASSETS                                                                          

NON-CURRENT ASSETS                                                              
Tangible assets                                  9,805       9,948              
Intangible assets                                  409         458              
Available-for-sale financial assets                 20          20              
                                                10,234      10,426              

CURRENT ASSETS                                                                  
Inventories                                     15,229      17,286              
Trade and other receivables                      5,241       6,109              
Current tax assets                                  18         268              
Cash and cash equivalents                       10,245       6,112              
                                                30,733      29,775              

ASSETS, TOTAL                                   40,967      40,201              

SHAREHOLDERS' EQUITY AND LIABILITIES                                            

EQUITY ATTRIBUTABLE TO EQUITY HOLDERS                                           
OF THE PARENT COMPANY                                                           
Share capital                                    8,040       8,040              
Translation differences                              2          -2              
Retained earnings                               23,783      23,504              
Shareholders' equity, total                     31,825      31,542              

NON-CURRENT LIABILITIES                                                         
Deferred tax liabilities                           683         705              
Financial liabilities                                -           -              
                                                   683         705              

CURRENT LIABILITIES                                                             
Trade and other payables                         7,874       7,751              
Current tax liabilities                            585          18              
Financial liabilities                                -         185              
                                                 8,459       7,954              

Liabilities, total                               9,142       8,659              

SHAREHOLDERS' EQUITY AND LIABILITIES, TOTAL     40,967      40,201              

The Group has no liabilities resulting from derivative contracts, and there are 
no outstanding guarantees or any other contingent liabilities which have been   
granted on behalf of the management of the company or its shareholders.         


CONSOLIDATED CASH FLOW STATEMENT                                                

(EUR 1,000)                                       2009        2008              

CASH FLOW FROM OPERATING ACTIVITIES                                             

Net profit for the period                        4,701       7,378              
Adjustments                                                                     
 Depreciation according to plan                  1,394       1,324              
 Financial income and expenses                     -63          -8              
 Taxes                                           1,653       2,586              
Cash flow before change in working capital       7,685      11,280              

Change in working capital                                                       
 Increase (-) / decrease (+) in current                                         
  non-interest-bearing trade receivables           834        -574              
 Increase (-) / decrease (+) in inventories      2,055         995              
 Increase (-) / decrease in current                                             
  non-interest-bearing liabilities                 108      -1,050              
Cash flow from operating activities before                                      
 financial items and taxes                      10,682      10,651              

Paid interest and payments                                                      
 on other operational financial expenses           -24        -200              
Interest received                                  120         201              
Taxes paid                                        -837      -2,616              

CASH FLOW FROM OPERATING ACTIVITIES              9,941       8,036              

CASH FLOW FROM INVESTING ACTIVITIES                                             

Investments in tangible                                                         
 and intangible assets                          -1,202      -1,362              

CASH FLOW FROM INVESTING ACTIVITIES             -1,202      -1,362              

CASH FLOW FROM FINANCING ACTIVITIES                                             

Short-term loans drawn                               -       4,600              
Short-term loans repaid                           -185      -5,550              
Long-term loans repaid                               -        -655              
Dividends paid                                  -4,422      -5,226              

CASH FLOW FROM FINANCING ACTIVITIES             -4,607      -6,831              

Change in cash and cash equivalents              4,133        -157              

Cash and cash equivalents                                                       
 at the beginning of the period                  6,112                          
      6,269                                                                     
Cash and cash equivalents                                                       
 at the end of the period                       10,245                          
      6,112                                                                     


CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY                       

(EUR 1,000)                                                                     

       Equity attributable to equity holders of the parent company              

                                                     Shareholders'              
                    Share   Translation   Retained         equity,              
                  capital   differences   earnings           total              

Shareholders'                                                                   
 equity                                                                         
 1 Jan. 2008        8,040             3     21,352          29,395              

Comprehensive                                                                   
 income for the                                                                 
 period                              -5      7,378           7,373              

Dividends paid                              -5,226          -5,226              

Shareholders'                                                                   
 equity                                                                         
 31 Dec. 2008       8,040            -2     23,504          31,542              


Shareholders'                                                                   
 equity                                                                         
 1 Jan. 2009        8,040             -2    23,504          31,542              

Comprehensive                                                                   
 income for the                                                                 
 period                                4     4,701           4,705              

Dividends paid                              -4,422          -4,422              

Shareholders'                                                                   
 equity                                                                         
 31 Dec. 2009        8,040             2    23,783          31,825              

KEY INDICATORS                                                                  
                                      2009        2008   Change, %              

Earnings per share, EUR               0.59        0.92       -35.9              
Equity per share, EUR                 3.96        3.92         1.0              
Share of exports and income from                                                
 international operations,                                                      
 % of net sales                       27.3        27.0                          
Return on equity (ROE), %             14.8        24.2                          
Return on investment (ROI), %         20.1        32.3                          
Equity ratio, %                       77.7        78.7                          
Gearing, %                           -32.2       -18.8                          
Gross investments, EUR 1,000         1,202       1,362       -11.8              
Gross investments, % of net sales      1.7         1.7                          
Contingent liabilities, EUR 1,000   11,819      17,861       -33.8              
Average personnel                      400         411        -2.7              
Personnel at the end of the period     370         414       -10.6              
Number of shares at the end                                                     
 of the period (1,000)               8,040       8,040                          
Number of shares outstanding,                                                   
 average (1,000)                     8,040       8,040                          

NET SALES BY MARKET AREA                                                        

(EUR 1,000)        10-12/   10-12/ Change,   1-12/   1-12/ Change,              
                     2009     2008       %    2009    2008       %              

Finland            16,538   17,762    -6.9  52,711  59,175   -10.9              
Other Nordic                                                                    
countries           1,725    1,614     6.9   7,042   9,423   -25.3              
Rest of Europe        978      933     4.8   4,821   4,700     2.6              
North America         694    1,117   -37.9   3,003   3,994   -24.8              
Other countries       784      635    23.5   4,896   3,815    28.3              
TOTAL              20,719   22,061    -6.1  72,473  81,107   -10.7              


NET SALES BY PRODUCT LINE                                                       

(EUR 1,000)        10-12/  10-12/  Change,   1-12/   1-12/ Change,              
                     2009    2008        %    2009    2008       %              

Clothing            6,213   6,531     -4.9  27,466  29,898    -8.1              
Interior                                                                        
decoration         11,658  12,935     -9.9  32,687  37,747   -13.4              
Bags                2,848   2,595      9.7  12,320  13,462    -8.5              
TOTAL              20,719  22,061     -6.1  72,473  81,107   -10.7              


SEGMENT INFORMATION                                                             

(EUR 1,000)                           2009        2008   Change, %              

Marimekko business                                                              
 Net sales                          72,473      81,107       -10.7              
 Operating result                    6,291       9,956       -36.8              
 Assets                             40,967      40,201         1.9              


QUARTERLY TREND IN NET SALES AND EARNINGS                                       

(EUR 1,000)                10-12/       7-9/       4-6/       1-3/              
                             2009       2009       2009       2009              

Net sales                  20,719     19,492     15,999     16,263              
Operating result            2,353      2,901      1,058        -21              
Earnings per share, EUR      0.22       0.27       0.10       0.00              

(EUR 1,000)                10-12/       7-9/       4-6/       1-3/              
                             2008       2008       2008       2008              

Net sales                  22,061     21,913     18,539     18,594              
Operating result            1,845      3,747      2,540      1,824              
Earnings per share, EUR      0.17       0.35       0.23       0.17


marimekko_financial statements_2009.pdf